MARKET LOOKING POSITIVE POST-VIRUS, SAYS NETWORK

Estate agents from the Experts in Property network across Devon say they have a positive outlook on the property market after the coronavirus crisis is over.

The impact of the virus on the housing market will be significant.

On March 23, the Government ordered non-essential shops and businesses – including estate agencies – to close.

The pandemic follows almost four years of ambiguity for the UK over Brexit.

By coincidence, January 31, 2020 marked both our final day in the EU and the day the UK’s first coronavirus case was recorded.

Much of the data on the housing market for the last quarter – the period most affected by the pandemic so far – is not yet available. It will make interesting reading.

But, having studied the property market statistics over the course of Brexit, which was widely reported as suppressing the market, there are many reasons for a long-term positive outlook.

The pre-virus data reveals an unwavering year-on-year increase in the average price of a home in England, with an overall national rise of 21% during the five years from February

2015 to February 2020. During this period, prices in Devon increased by 17.5%, from an average of £223,479 to £262,700.

Before Brexit, the market was thriving – the 12 months to February 2016 saw the number of homes sold in Devon increase by 19%.

The EU Referendum took place in June 2016 and, in the 12 months to February 2017, the number of sales in Devon dropped by 10%.

Between February 2017 and February 2018, the number of homes sold and the average price of a home in Devon increased by 5% and 6% respectively, proof perhaps of the public settling into the idea of Brexit.

But, by February 2019, the volume of homes sold had dipped by 9%, although prices rose by 3%. This can probably be attributed to our looming exit of the EU, which was originally due to happen on March 30, 2019.

Boris Johnson became Prime Minister in July. This was a pivotal moment in the market with a newfound confidence dubbed the “Boris Bounce”. Between February and December 2019, both prices and the volume of sales in Devon grew (by 1.5% and a staggering 23%).

The pre-coronavirus housing market was looking extremely bright but sales volume data for the last quarter will undoubtedly show a dramatic downward shift.

However, in the long term, the Experts in Property network says that it feels there is still an incredibly positive outlook for the housing market as a whole.

Steve Moir, the chairman of the Experts in Property, said: “We know there is a huge pent-up demand for people to move home and we are confident that our member agents have coped well during this crisis; they are well prepared for the end of lockdown.”

For further information, to find your nearest estate agency member of the Experts in Property, or to browse property for sale throughout the South West, go online to www.theexpertsinproperty.co.uk